Family office

Family offices might invest in private equity, venture capital opportunities, hedge funds, and commercial real estate.

[11] The firm DuPont, after founder Irenee died in 1834, was conceived as a form of family office, where three of his sons split management duties of their late father's gunpowder mill.

"[9] Under the Dodd–Frank Wall Street Reform and Consumer Protection Act of 2010, an organized effort was undertaken by single family offices (SFOs) nationwide led by the Private Investor Coalition that successfully convinced Congress to exempt SFOs from having to meet certain criteria from the definition of investment adviser under the Investment Advisers Act of 1940.

"[15] Family offices became more common in years since 2010 after the rapid increase in valuations of technology companies led to many people having newly created wealth.

[17] In January 2021, it was revealed that Leon Black paid Jeffrey Epstein $158 million over the period from 2012 to 2017 for family office tax advice.

[18] In spring 2021 the implosion of Archegos Capital Management drew the scrutiny of several regulators and the questioning of Sherrod Brown, Chair of the US Senate Banking Committee.

[19] It came to light during the 2021 implosion of Archegos Capital Management that family offices were reportedly "more loosely regulated than other investment vehicles, with fewer disclosure requirements.

The bill would also prevent persons who are barred or subject to final orders for conduct constituting fraud, manipulation or deceit from being associated with a family office.

Typically, these organizations employ staff to manage investments, taxes, philanthropic activities, trusts, and legal matters.